May 24, 2018
No. 18-21

JUNEAU, Alaska — The Alaska Department of Labor and Workforce Development and Department of Administration have finalized regulations to encourage safe workplaces and compliance with labor laws. The new regulations, which go into effect June 7, ensure law-abiding state contractors are not out-bid by unscrupulous bidders who cut costs by deliberately or repeatedly depriving employees of basic rights, including minimum wage, overtime, workers’ compensation, and a safe work environment.

“Law-abiding contractors should be able to compete on a level playing field,” said Alaska Labor Commissioner Heidi Drygas. “These regulations are a win-win for Alaska businesses and workers.”

The regulations fulfill the intent of Administrative Order 286, which was issued by Governor Walker in 2017. The new regulations will ensure the State of Alaska plays a positive role in the marketplace by embedding support for labor rights in the procurement process. Incentivizing labor rights compliance has beneficial ripple effects, since most state government contractors also work in other lines of business. Sustaining and strengthening labor rights enforcement also has positive economic impacts by ensuring wages stay in Alaska and recirculate in the state economy.